Interested in small bail bond business ideas? If YES, here is how to open a bail bonds company with no money and no experience. How much does it cost to start up?
How to Start a Bail Bonds Company
In a city or state where there is a very good justice system, to start a bail bond business may just be the most feasible investment. How do bail bond businesses make their profits? Basically what happens is that, once a person has been arrested, the person is given the choice to post bail, i.e., the person pays a specified sum of money to the court for his release before court trial.
Usually, the person will not have the money to pay in full, so a bail bond service comes in to rescue the person, and pay the specified sum. In return, the bail bond service charges the person a certain percentage of the total bail amount.
If you are thinking of starting a bail bond business, then this article is just right for you. In this article, I have highlighted some of the steps to take, which you will find interesting, if you are interested in starting a bail bond business.
What does it take to start a Bail Bond Business?
Get Familiar with the Laws
One of the first things you may want to do before you can start your bail bond business is to get acquainted with all the laws in your state. In some jurisdictions, bail bond services are not permitted. If it is permitted in your state, you may want to do well to learn about the licensing processes.
A good place to begin is to visit the department of insurance in your state, or your local criminal court to make enquiries about the types of licenses you may need, as well as any other requirements. Once you are sure of the licenses you may need, and are ready to start-up, go ahead to choose a good business name and head to the relevant body for registration in your state.
However, after setting up your bail bond business, be sure to visit the local courts in your state as well as the local police to register with them.
Certainly, you will need insurance for your bail bond business; you surely cannot do without it, unless you are very wealthy. The reason is because you will need a good source for obtaining huge finance should your client skip. The insurance company is responsible for providing your bail bond business with the necessary financial support when needed.
To get insurance for your bail bond business, the process will begin with you learning as much as you can from the department of insurance in your state as regards the requirements needed for insuring your business. Getting insured would mean you will have to be paying premium to the insurance company you registered with.
Choose a good Location
One thing that will be instrumental in determining the success of your bail bond business is the choice of location for your business. To ensure you have a better chance at being successful in the bail bond business, it is important you cite the location of your office in cities that are populated with high traffic, and it should also be close to courthouses, jails, etc.
It is important you get some sort of experience before you start your bail bond business. You must be able to know a lot about the business before you can start, so that you do not end up losing your investment.
A year of working in a bail bonding company and learning about the business will surely save you so many years of loss. You want to make sure you are very familiar with the whole criminal process in the state you decide to cite your location, as well as ensuring you have some knowledge of law enforcement.
Get the Word Out
The bail bond business is one which requires some real advertising. If you do not pay real attention to advertising your bail bond business, you may really struggle getting clients in the business.
A good way to begin is by creating fliers, and handing them out to people on the streets in areas close to jail. You could also place adverts on radio, TV stations, newspapers, and local directories.
It is also important you foster good relationship with your state insurance department, local police stations, and criminal courts. Also, it would be helpful to have a website where you can post contents to ensure you increase the visibility of your bail bond business to a grander audience.
However, before you begin spreading the word out, it is important you make enquiries as to what kind of promotion is acceptable in your state for bail bond businesses. Some states have limitations for bail bond business promotion. So, you want to ensure you stay within the confines of the law in your state.
Gather Resources and Hire Staffs
Before you start your bail bond business, you must have to make research on the resources you will need, so as to facilitate the smooth operation of your business.
First, you will have to know the equipment or tools and software you will require. Bail bond businesses would require case management software, the type that fully caters for their needs. This software will be quite important for helping you better manage your bail bonds.
Also, you will have to make sure you hire some quality bail enforcement agents, clerical staffs, as well as a bounty hunter. They all have their roles to play. When offenders skip on their bonds, it is the bounty hunter that makes sure they are apprehended; while the clerical staffs deal with handling client issues.
It is also very important you are smart and intuitive enough to be able to read and predict people. This is where experience in the business plays an important role, both in hiring your staff, and in dealing with your clients.